According to Kaur Kajak, deputy secretary general for administrative policy at the Ministry of Finance, the current system hasn't proven effective because it's difficult for the state to find suitable uses for transferred properties while unaware of local conditions.

"Local governments, on the other hand, are more familiar with the needs of their area and can find a purpose for the property that supports local development and the living environment," he said.

The ministry official noted that properties relinquished to the state often include apartments in poor condition that are located in increasingly vacant buildings, adding that these cases aren't merely a real estate issue; they indicate broader social problems, especially in Ida-Viru County in Northeastern Estonia.

A 2019 pilot project showed that local approaches are the most effective for addressing problems with unused apartments, including relocating residents and demolishing abandoned buildings. The amendment, set to take effect January 1 of next year, will also provide financial support to local governments for managing these properties.

Between 2011 and 2024, a total of 606 unwanted real estate properties were handed over to the state.

--

Follow ERR News on Facebook, Bluesky and X and never miss an update!